Former Mass. resident pleads guilty to $10 million Ponzi scheme
A former Massachusetts resident pleaded guilty Friday to operating a $10 million Ponzi scheme, the U.S. Attorney’s office said in a statement Monday.
Mark Anderson Jones, 64, pleaded guilty to one count of wire fraud and one count of engaging in monetary transactions in proceeds of unlawful activity.
Jones acquired around $10 million in investments from more than 20 people from 2008 to 2015 by assuring them they would be issuing financing to businesses in Jamaica, according to the U.S. Attorney’s office.
Banks in Jamaica can take time to issue loans to businesses, and Jones claimed he was providing “bridge loans” to these businesses, authorities said. This type of loan is supposed to close the gap between the date businesses apply for a loan from Jamaican banks and the date they receive funds, according to the U.S. Attorney’s office.
Jones misled investors about how their money would be used: Rather than investing in bridge loans and paying returns based on investments, he paid investors with new capital from other investors, authorities said.
Jones is expected to be sentenced on December 21, according to the U.S. Attorney’s office.
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